Title
Department of Transportation recommending the Board:
1) Approve the addition of two (2) Felling tiltbed trailers to Department of Transportation's FY 2019-20 Fixed Asset List totaling $38,000;
2) Approve the $22,664 price decrease on the Fixed Asset List for the lowbed trailer (Felling beavertail trailer) bringing the estimate from $110,664 to $88,000;
3) Make findings that the purchase of two (2) Felling tiltbed trailers and one (1) Felling beavertail trailer are exempt from competitive bidding in accordance with Purchasing Ordinance 3.12.13, Section D;
4) Authorize the Purchasing Agent to utilize the Sourcewell, formally known as National Joint Powers Alliance (NJPA), competitively bid Contract 121918-FTS for the acquisition of two (2) Felling tiltbed trailers and one (1) Felling beavertail trailer for the Department of Transportation, Maintenance and Operations Division;
5) Authorize the Purchasing Agent to sign a purchase order to the awarded Sourcewell vendor, Holt of California of Sacramento, CA. in the amount of $117,247.20 plus applicable delivery, fees and taxes (estimated at $8,530.45) for a one time purchase for two (2) Felling tiltbed trailers and one (1) Felling beavertail trailer following Board approval;
6) Approve the $38,336 price decrease on the Fixed Asset List for the skidsteer, bringing the estimate from $200,000 to $161,664;
7) Approve the $13,000 price increase on the Fixed Asset List for the Road Widener Unit, bringing the estimate from $45,000 to $58,000; and
8) Approve the addition of a PB Patcher Attachment (rear pivoting conveyor) to Department of Transportation's Fixed Asset List totaling $10,000.
FUNDING: Road Fund (No Budget Amendment needed)
Body
DISCUSSION / BACKGROUND
The Department of Transportation (Transportation), Maintenance and Operations Division, is requesting authorization to add items to the Fixed Asset list, purchase the items, and adjust cost estimates on other items. The equipment includes one (1) Felling beavertail trailer and one (1) of the Felling tiltbed trailers, which are replacing existing equipment. The second Felling tiltbed trailer is not currently on the Fixed Asset list, but will be used for the new highflow skidsteer that is included on the 2019-20 Fixed Asset List.
All three (3) trailers will be purchased utilizing the Sourcewell competitively bid Contract 121918-FTS. The County Purchasing Ordinance, Section 3.12.160, describes exceptions that may be made under (D) of this section, which requires that the item may be procured from a vendor that has a contract with another public agency; that the contract was awarded utilizing a competitive bidding process substantially the same as the County's; and that the item terms of the transaction are the same, or substantially the same. For this purchase, the Department is able to utilize the Sourcewell competitively-bid Contract 121918-FTS with Holt of California of Sacramento, CA for the purchase of the two (2) Felling tiltbed trailers and one (1) Felling beavertail trailer.
Transportation is also requesting a change in estimated costs currently on the 2019-20 Fixed Asset List, which would allow for the purchase of the additional equipment without an increase in the overall budget for the Department's fixed assets. In anticipation of the FY 2019-20 budget development process, and in order to request equipment for the Fixed Asset list, the Department reached out to companies for approximate costs, reviewed equipment, researched estimates online, and attempted to anticipate possible increases/decreases for equipment prices as the market is very volatile. Equipment costs will often change with different tariffs, fees, seasons and construction demands.
The lowbed trailer was estimated at $110,664 on the FIxed Asset list due to market value, however, the NJPA contract provides the Department substantial unanticipated savings, and the updated estimate is $88,000 (a decrease of $22,664). The highflow skidsteer is estimated at $200,000 on the current Fixed Asset list, but due to anticipated bidding costs and current quotes the price has decreased to $161,664 (a decrease of $38,336). The product is also now a tracked skidsteer compared to the wheeled skidsteer which will provide the Department the ability to work in more confined locations. The road widener fixed asset was estimated at market value, however, the estimated cost has increased since projected numbers were projected in December 2018. The reduction in price of the lowbed trailer and highflow skidsteer will allow Transportation to acquire two (2) tiltbed trailers totaling $38,000, increase the Road Widener Unit budget by $13,000 and acquire a PB Patcher Attachment (rear pivoting conveyor) totaling $10,000 without increasing the budgeted appropriations for Transportation's fixed assets for Fiscal Year 2019-20.
ALTERNATIVES
The Board may elect to not approve the changes and additional fixed asset items as proposed, although this would leave Transportation with inadequate equipment to perform road maintenance.
PRIOR BOARD ACTION
N/A
OTHER DEPARTMENT / AGENCY INVOLVEMENT
County Counsel approved the Sourcewell contract.
CAO RECOMMENDATION / COMMENTS
It is recommended that the Board approve this item.
FINANCIAL IMPACT
The proposed changes and additional fixed asset items result in no increase to Net County Cost due to the reduction of cost in separate fixed asset items. Funding for this equipment is available in the Road Fund partially due to Road Repair and Accountability Act of 2017 (SB1) revenue. No budget amendment is needed to include the items in Transportation’s fixed asset listing.
CLERK OF THE BOARD FOLLOW UP ACTIONS
N/A
STRATEGIC PLAN COMPONENT
Good Governance, Infrastructure
CONTACT
Rafael Martinez, Director
Department of Transportation